New stats show fewer children are being held in detention or under community supervision orders, but the rate for Indigenous children is slower to move.

The Australian Institute of Health and Welfare (AIHW) says over 5,300 children aged between 10 and 17 were in detention or under community supervision by youth justice officers last financial year, but there are about 1,000 fewer children under supervision compared with five years ago.

However, the likelihood of Indigenous children being subject to youth justice supervision has risen from 15 to 18 times that of non-Indigenous children.

The rate of non-Indigenous children under supervision has fallen by 22 per cent over five years, but just 9 per cent for Indigenous children.